Prague is buying more land for the construction of a stone exhibition center

Prague - The Prague City Hall has purchased additional land needed for the construction of a stone exhibition area in Letňany and also for a potential Olympics. The city will pay approximately 83 million crowns for the parcels. This decision was made today by the councilors. The purchase of land in Letňany and neighboring Kbely was halted by the city three years ago. The joint venture agreement with ABF for the construction of the exhibition area was reportedly disadvantageous for the city hall.
    The city will now acquire a total of about 56,000 square meters of parcels from the restitution claimants. The price ranges from 1200 to 1500 crowns per square meter. However, the deal can only be finalized after settling the inheritance of the co-owner who passed away.
    In the past, the city formed a company called Prague Exhibition Grounds (PVA) with ABF. The contracts were terminated back in September of the year before last. In April, the city council decided to withdraw from the contracts on the parcels that PVA was renting for free. ABF is considering taking legal action.
    The city's leadership declared in April that it would seek to acquire additional land in the Letňany area. The intention to build the exhibition grounds remains. Previously, the parcels were not purchased because the contracts required them to be provided to PVA free of charge.
    The construction of the stone exhibition grounds in Prague is several years behind schedule. A solution for financing the project took a long time to find. Last year, ABF announced that it had been joined by SPGroup, led by entrepreneur Pavel Sehnal. According to previous statements, they purportedly have sufficient capital to construct the area.
    ABF considers the city hall's actions to be unilateral. The company's CEO, Miloslava Veselá, warned the Prague councilors in April that if PVA or ABF is harmed in any way, they will turn to lawyers.
    The joint venture agreement was signed ten years ago, with the city holding an eleven percent stake in PVA. It was supposed to purchase over 250 hectares of parcels in Letňany. To date, only 24 hectares have been acquired.